A massive transfer of Bitcoin from wallets linked to the long-defunct Mt. Gox exchange initially sparked market fears, but experts and official sources quickly dismissed speculation of a hack. On May 28, 2024, the first movement of funds from Mt. Gox wallets in over five years was observed, with 141,686 BTC, worth approximately $9.62 billion, being consolidated into a new wallet.
Despite initial market jitters, the Mt. Gox rehabilitation trustee, Nobuaki Kobayashi, issued a statement confirming the move was a planned step. The trustee stated that he is preparing to make repayments to creditors under the rehabilitation plan. This was echoed by former Mt. Gox CEO Mark Karpeles, who stated on X, "The trustee is moving coins to a different wallet in preparation of the distribution that will likely happen this year, there is no imminent sale of bitcoins happening."
Mt. Gox was once the world's largest Bitcoin exchange, handling over 90% of daily trading volume at its peak before it collapsed in 2014 following the loss of 850,000 Bitcoin in investor funds. Approximately 127,000 creditors have been waiting for over a decade to be reimbursed.
According to an official notice from the rehabilitation trustee, repayments in Bitcoin and Bitcoin Cash will commence from the beginning of July 2024. The process is expected to take place over several months. Creditors will receive a mix of crypto — bitcoin and bitcoin cash — and fiat money. This controlled distribution is expected to mitigate fears of a massive sell-off that could negatively impact Bitcoin's price.
The news of the impending distribution comes after multiple delays, with the repayment deadline having previously been moved from October 2023 to October 2024, and more recently set to October 31, 2025, for some payments. The recent consolidation of funds is a crucial logistical step to facilitate this complex and long-awaited reimbursement process, bringing closure to one of the longest-running chapters in Crypto history.